Thomas A. Broeckling Named Banker of the Year

CHICAGO — Thomas A. Broeckling, President of the First National Bank of Steeleville, was honored as the Illinois Bankers Association’s (IBA) 2020 Banker of the Year during the association’s virtual Annual Conference. This is the 18th year for the award, and it is the highest honor the Illinois Bankers Association can bestow on one of its members. It is presented to an individual whose dedication to excellence has most profoundly enhanced the banking industry.

Broeckling’s banking career spans more than 36 years. He has a long history of community involvement and achievement and has been very active with the IBA throughout the years. He is a past member of the IBA Board of Directors. In addition, he is a current member of the Government Relations Committee and has served on the Annual Conference Committee as well as the Audit Committee.

He takes great pride in serving his community and currently serves as the Vice Chairman of the HSHS St. Joseph’s Hospital Board. He is also a strong supporter of education and served on the Board of Directors for School District 63 for over twenty years with all but two of those years as the President.

Currently, Broeckling is a member of the Finance Committee of St. Bernard’s Catholic Church and has been active with many other organizations, including the Albers Jaycees, Albers Commercial Club, Damiansville Chamber of Commerce, Mater Dei Knights Club and others. During the COVID-19 pandemic, Broeckling has proven to be a true leader, going above and beyond and working closely with bank employees to ensure a smooth transition into multiple phases of emergency business procedures.
He is dedicated to growing the careers of his bank employees through guidance and leadership, and, in 2016, he was instrumental in forming the bank’s first-ever Employee Engagement Committee with the goal of creating an environment that values and supports each employee and promotes a healthy organization through communication, involvement, respect, training and recognition.

In Indiana, 70,000+ PPP Loans to Small Businesses Total Nearly $10 Billion

INDIANAPOLIS — Per data released by the Small Business Administration, 71,614 Paycheck Protection Program loans have been approved through May 8 for small businesses in Indiana, with funds still remaining.
This figure combines Indiana loans approved to date in Round Two of funding, which began April 27, with Round One loans approved April 3-16. In gross dollars, combining both rounds of funding, Indiana banks have assisted in providing $9,664,484,919 in PPP loans to small businesses in the Hoosier state.

PPP loans, a provision of the CARES Act, are backed by the SBA and forgivable if at least 75% of dollars received are applied toward payroll. The first round of funding provided $350 billion in loans; Round Two provided an additional $300 billion. Nationwide, combining loan activity of Round One with Round Two, 4,232,534 PPP loans have been approved to date, totaling $531,221,587,671 in gross dollars. Of the 5,463 Round Two lenders, 81% are banks and savings & loans.

“Tax-paying depository banks and savings & loans in Indiana and throughout the nation continue to do the lion’s share in helping small businesses apply for much-needed funding,” said Amber Van Til, president and CEO of the Indiana Bankers Association. “Paycheck Protection Program loans help small businesses remain open, preventing layoffs and saving jobs.”

SBA Issues New PPP Forms, Rule

WASHINGTON — The Small Business Administration issued new Paycheck Protection Program application forms and an interim final rule implementing ICBA-advocated reforms to the program.

The new rule revises the original PPP interim final rule issued April 2 and implements reforms included in the Paycheck Protection Program Flexibility Act of 2020, which was signed into law June 5 by President Trump.
Among its policies, the law extends from eight to 24 weeks the amount of time borrowers have to spend PPP funds while remaining eligible for forgiveness and lowers the amount that must be spent on payroll costs from 75 percent to 60 percent.

The rule notes that:
60 percent of the loan forgiveness amount must be payroll, but borrowers will receive partial forgiveness to the extent they fall short of 60 percent.
The new five-year maturity term applies to loans that receive an SBA approval/loan number on June 5 or later.
-SBA and Treasury will provide further guidance on forgiveness, loan reviews, and advance purchases of PPP loans by SBA.

ICBA offers a summary of the law that community banks can share with borrowers. Meanwhile, ICBA continues calling on community bankers and small-business owners to urge Treasury and SBA to enact additional reforms to simplify the PPP process.

Michael Manica Named MBA 2020 Banker of the Year

LANSING, Mich. — The Michigan Bankers Association (MBA) has named Michael J. Manica, Vice Chairman, United Bank of Michigan as the 2020 Banker of the Year. The MBA Board of Directors recognizes an industry leader as the MBA Banker of the Year based on their commitment to the Michigan Bankers Association, contributions to the industry, success of their bank, and a strong record of community service.

“Mike Manica is most deserving of this honor. He has dedicated his career to Michigan banking and the development of our industry’s future bankers,” stated T. Rann Paynter, MBA President and CEO. “Mike is a leader in the financial industry. He has been devoted exclusively to community banking and exemplifies the professional and leadership qualities set forth in the criteria for the nominees for the award.”

Five decades ago, Mike Manica accepted a position with FDIC. During this time, he achieved the level of Senior Field Examiner, working in the FDIC Liquidation Division and the Problem Bank Department of the Division of Bank Supervision. He also served as a trainer, concentrating on loan quality and assessment. He began his career at United Bank nearly 40 years ago, when he accepted the position of Vice President of Loan Administration with Wayland State Bank, which later became United Bank of Michigan in 1983. In the following years, he held several positions at the bank, serving as the President and Chief Operating Officer, leading up to him being named Chief Executive Officer in 2014. Michael served as CEO until stepping down in 2019, still contributing to the operations and success as the Vice-Chairman for United Bank Financial Corporation and Board of Directors.

Michael was instrumental in the shared success of expanding United Bank from $45 million in size to over $660 million. As the bank grew, he always kept in mind the importance of community banking and empowering customers with real solutions in business and life.
Throughout his career, Michael has been an active supporter of the MBA, most notably serving as the 2017-2018 MBA Chairman. As Chairman, Michael participated in Dodd-Frank reform, representing community bankers most affected by past increases to government regulation. During his time as Chairman, he promoted full participation in political advocacy. Michael also served on the MBA Bank Management Committee, as treasurer of the MBA, and is a former member of the Board of Directors of the MBA. Manica has always been committed to improving the trust and integrity of the banking industry and the local banker.

ICBA: Expand Transparency of Credit Union Acquisitions of Community Banks

WASHINGTON — The Independent Community Bankers of America® (ICBA) called on the National Credit Union Administration to expand on its proposed rule to provide more transparency and disclosures when large, tax-exempt credit unions acquire smaller, tax-paying community banks.

“The growing trend of large credit unions using their taxpayer-funded subsidies to acquire smaller, tax-paying community banks worsens banking industry consolidation, reduces the tax base of local communities, and furthers the credit union industry’s encroachment into full-service banking without paying their fair share of taxes,” ICBA President and CEO Rebeca Romero Rainey said today. “While ICBA welcomes the NCUA’s efforts to bring much-needed attention to this trend, more is needed to increase the transparency of these deals.”

Among its recommendations, ICBA called on the NCUA to:
Recognize that growth-oriented credit unions are targeting healthy community banks.
-Require credit unions to provide additional disclosures and member communications.
-Assess the impact of these acquisitions on acquired banks’ local communities.

Verify whether acquired bank customers are eligible to be members of acquiring credit unions.

ICBA’s comment letter follows a recent Medium op-ed from ICBA Vice Chairman Brad Bolton encouraging small credit unions to support congressional oversight of NCUA regulations benefitting the largest and riskiest credit unions. “While Main Street lenders have been helping their communities through the coronavirus pandemic, the federal credit union regulator has used the crisis to benefit the largest credit unions — at the expense of community banks and small credit unions alike,” he wrote.
ICBA will continue calling on policymakers and the public to “Wake Up” and open their eyes to the risky practices, costly tax subsidies, and irresponsibly lax oversight of the nation’s credit unions.

IBA Welcomes Liquid Capital As A Preferred Vendor

CHICAGO — The board of Illinois Bankers Business Services, the for-profit division of the Illinois Bankers Association, has approved Liquid Capital Corp. and their Bank Alliance Program, as a preferred vendor.

Established in 1999, Liquid Capital Corp. is a direct funding source that provides strategic alternative financing solutions for business to business companies. They address issues such as constrained cash flow, supplier payments and asset-based lines of credit. They have administrative offices in Toronto and Montreal, Canada as well as Irving and Austin, Texas and a network of 45 sales offices spanning North America. To date, Liquid Capital has deployed over $3 billion in financing transactions.

As an expansion of Liquid Capital’s experience in working with banks, they have developed the Bank Alliance Program. Recognizing the need for banks to compete and present a more broad-based approach in addressing the financing needs of prospective and current customers, the Bank Alliance Program provides a proactive offering of alternative financing options when traditional lending is not available or is limited. The structure of the program is developed in collaboration with the bank based on their needs and preferences as an enhancement to their business and strategic plans. The goal is to provide the bank the opportunity to increase their customer acquisition and retain the business and loyalty of current customers.

In achieving preferred vendor status, Tom Stamborski, the program’s developer and manager, said, “Liquid Capital is honored to be approved as a preferred vendor and excited to play a part in the continuing history of the IBA in its delivery of products and services to its members. The IBA is seen as a lead innovator among state banker associations and we look forward to complimenting their efforts by delivering to their member banks financing products and support that will contribute to their growth and success.”

ICBA Offers Congress Stimulus Recommendations

WASHINGTON — As Congress considers the next legislative package to address the economic fallout from the COVID-19 pandemic, ICBA weighed in with recommendations to support local communities.
“ICBA and the nation’s community banks encourage Congress to include in the next COVID-19 relief bill provisions that will directly support local economies, starting with needed reforms to the current Paycheck Protection Program,” ICBA President and CEO Rebeca Romero Rainey said.
In its letter sent to congressional leaders, ICBA recommended Paycheck Protection Program reforms, bank capital and accounting relief, liability protection, tax relief, agricultural support, and more.
Meanwhile, ICBA continues calling on community bankers and small-business owners to urge the Treasury Department and SBA to enact additional PPP simplifications.